I have created invoices, received payments, and recorded deposits. It is transferring directly to my account as a deposit labeled “undeposited funds”. The amount is not showing as sales when I run reports. What am I doing wrong?
Undeposited Funds account in QuickBooks is a special temporary account that QuickBooks uses to hold payments received from customer invoices before you deposit them into the bank. It'll not show as sales unless you deposit them in your bank account.
You can create a bank deposit for all the received payments you recorded posted to the Undeposited Funds account. This is to ensure that there are not payments left to be deposited. Also, the amounts will show as sales in your Profit and Loss report.